Table of Contents
Preface vii
Acknowledgments xi
The Global Outlook for Government Debt over the Next 25 Years 1
Overview 1
Introduction 3
Projected Paths of Government Debt 4
The Burden of Debt and Fiscal Limits 20
Paths to Safety 40
Conclusion 49
References 51
About the Authors 57
Index 59
Tables
Table 1 Fiscal and economic assumptions 6
Table 2 General government net debt projections (percent of GDP) 11
Table 3 Effective interest rate on government debt (percent) 22
Table 4 Net interest payments on government debt (percent of GDP) 29
Table 5 Adjustment paths for general government net debt (percent of GDP) 41
Figures
Figure 1 General government nee debt projections-United States 12
Figure 2 General government net debt projections-Japan 13
Figure 3 General government net debt projections-Euro area 14
Figure 4 General government net debt projections-Advanced economies 15
Figure 5 General government net debt projections-Emerging economies 16
Figure 6 General government net debt projections-World 17
Figure 7 Effective interest rate on general government debt-United States 23
Figure 8 Effective interest rate on general government debt-Japan 24
Figure 9 Effective interest rate on general government debt-Euro area 25
Figure 10 Effective interest rate on general government debt-Advanced economies 26
Figure 11 Effective interest rate on general government debt-Emerging economies 27
Figure 12 Net debt interest payments-United States 30
Figure 13 Net debt interest payments-Japan 31
Figure 14 Net debt interest payments-Euro area 32
Figure 15 Net debt interest payments-Advanced economies 33
Figure 16 Net debt interest payments-Emerging economies 34
Figure 17 Adjustment paths for general government debt-United States 42
Figure 18 Adjustment paths for general government debt-Japan 43
Figure 19 Adjustment paths for general government debt-Euro area 44
Figure 20 Adjustment paths for general government debt-Advanced economies 45
Figure 21 Adjustment paths for general government debt-Emerging economies 46
Figure 22 Adjustment paths for general government debt-World 47
Box
Box 1 Statistical estimates of the effect of government debt on interest rates 9